We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
OSK vs. NIU: Which Stock Is the Better Value Option?
Read MoreHide Full Article
Investors interested in Automotive - Original Equipment stocks are likely familiar with Oshkosh (OSK - Free Report) and NIU TECHADR (NIU - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Oshkosh is sporting a Zacks Rank of #2 (Buy), while NIU TECHADR has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that OSK likely has seen a stronger improvement to its earnings outlook than NIU has recently. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
OSK currently has a forward P/E ratio of 18.15, while NIU has a forward P/E of 53.75. We also note that OSK has a PEG ratio of 1.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NIU currently has a PEG ratio of 1.79.
Another notable valuation metric for OSK is its P/B ratio of 2.81. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, NIU has a P/B of 16.84.
Based on these metrics and many more, OSK holds a Value grade of A, while NIU has a Value grade of D.
OSK has seen stronger estimate revision activity and sports more attractive valuation metrics than NIU, so it seems like value investors will conclude that OSK is the superior option right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
OSK vs. NIU: Which Stock Is the Better Value Option?
Investors interested in Automotive - Original Equipment stocks are likely familiar with Oshkosh (OSK - Free Report) and NIU TECHADR (NIU - Free Report) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.
The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Right now, Oshkosh is sporting a Zacks Rank of #2 (Buy), while NIU TECHADR has a Zacks Rank of #3 (Hold). Investors should feel comfortable knowing that OSK likely has seen a stronger improvement to its earnings outlook than NIU has recently. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
OSK currently has a forward P/E ratio of 18.15, while NIU has a forward P/E of 53.75. We also note that OSK has a PEG ratio of 1.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NIU currently has a PEG ratio of 1.79.
Another notable valuation metric for OSK is its P/B ratio of 2.81. The P/B is a method of comparing a stock's market value to its book value, which is defined as total assets minus total liabilities. By comparison, NIU has a P/B of 16.84.
Based on these metrics and many more, OSK holds a Value grade of A, while NIU has a Value grade of D.
OSK has seen stronger estimate revision activity and sports more attractive valuation metrics than NIU, so it seems like value investors will conclude that OSK is the superior option right now.